SUNBURY - Jim King's 25-year career as executive director of Northumberland County Industrial Development Authority (IDA) will most likely come to an abrupt end at the end of the month.
Citing the IDA's inability to lure sufficient industry to the county over the years and a desire to move in a "different direction" with the authority, Northumberland County Commissioners Vinny Clausi, Merle Phillips and Frank Sawicki agreed Tuesday afternoon to appoint county planning director Pat Mack to the dual role of IDA executive director at no additional financial compensation. The appointment is effective July 1.
When contacted Tuesday night, IDA Authority Chairman Ned Sodrick said the IDA sent a letter to the commissioners about a month ago requesting their assistance in dealing with the authority's lack of finances to fund the executive director position. He said the commissioners' decision to appoint Mack to the dual position at no extra compensation followed a regular meeting and executive session conducted by the authority Tuesday morning in which it decided not to fund King's position any longer.
King had previously submitted correspondence to the authority requesting to be paid $170,166 for services rendered since 2004.
King, who did not attend Tuesday's commissioners' meeting, has served as IDA executive director since 1987.
The 70-year-old Winfield resident, who came under attack by Clausi at a commissioners' meeting in February for alleged ineffectiveness as IDA executive director, said the IDA didn't have enough money to pay him some years, so he accrued the salary, which he said currently totals $170,166.
According to the correspondence sent by King to the authority, the following amounts are owed to the executive director:
$32,500 in 2004; $20,750 in 2005; $17,500 in 2006; $20,971 in 2007; $3,445 in 2008; $32,500 in 2009; $32,500 in 2010, and $10,000 in 2011.
When asked about the commissioners' action Tuesday, King, who is employed by the IDA and county Industrial Development Corporation (IDC), said he wasn't informed about their intention to appoint Mack to his position until the IDA meeting earlier in the day. Other than making a few comments off the record, King, who was disturbed about the commissioners' appointment, reserved comment about his future until he receives official notification from the IDA about its decision to replace him.
If IDA members, who are appointed by the commissioners, vote in favor of naming Mack as the new executive director, King said he may retire. King, who receives an annual salary of $32,500, is a disabled veteran whose salary was cut approximately 17 percent in 1992 by the IDA due to a lack of funding.
Sodrick said, "The authority believes Jim (King) earned the money he accrued. He was never paid for his services going back to 2004 because the authority didn't have the money to pay him. We are in the process of finding a way to pay Jim the approximate $170,000 he requested. But we also have verbally told him that his services will no longer be needed after June 30."
Sodrick, who noted all the IDA board members are volunteers, said the authority plans to approve Mack's appointment by the commissioners as IDA executive director as soon as possible.
The IDA chairman said Mack will have a huge responsibility to handle in both positions. He said the authority will be willing to help him in any way.
'Thrilled for the opportunity'
Sodrick said the IDA's mission is to coordinate economic activity in the county, serve as a lender of last resort, assist businesses in locating in the county and offer expertise to businesses and industries.
Mack said he was honored by the commissioners' confidence in appointing him to the important position of IDA director.
"I'm thrilled for the opportunity to help the county attract more industry," Mack said. "I don't think it will conflict with my duties as planning director."
Mack, who is paid approximately $39,000 as planning director, said he doesn't mind not receiving additional compensation for his new duties. He has served as planning director since February 2010.
On Tuesday, Clausi stated, "I am very concerned about Mr. King claiming that the IDA owes him approximately $170,000. How does that happen? We want to go in a new direction by restructuring the IDA. Naming Mr. Mack to the dual position of planning director and IDA executive director is something we feel had to be done to go after businesses. We can't continue to operate the IDA like it has been run for the past 30 years. A change had to be made. I tried to do this a couple years ago, but was shot down."
Clausi said he is currently in negotiations with five different industries interested in locating in Northumberland County.
Phillips agreed with Clausi that a change had to be made in IDA leadership.
"This is the right move to make," Phillips said. "The IDA is a tremendous tool for the county. Northumberland County is a great county, but we aren't promoting it enough through the IDA. We have to make sure we have the buildings to offer industries interested in locating here, and I think this change will make a big difference in promoting industry in the county."
Sawicki, who also voted to appoint Mack as executive director, reserved comment.
On Feb. 1, the commissioners suspended economic development loans made with Community Development Block Grant (CDBG) funding because the county's IDA failed to submit substantial documentation.
The action was taken in accordance with a mandate by the state Department of Community and Economic Development (DCED).
In addition to unanimously rescinding a motion passed in October that authorized the lending of CDBG funds through DCED, the commissioners in February appointed Jim Backes (four-year-term) of Coal Township, Joe Pancerella (three-year term) of Kulpmont, Matthew Markunas (two-year term) of Northumberland and Merle Phillips (one-year term) of Sunbury RD to the IDA board to fill vacancies. They replaced Maureen Hauck, Victor Klein, Keith Tressler and Terry Moll. Other members of the IDA board are Gene Zartman of Selinsgrove, Maria Culp of Milton, Sodrick of Paxinos, Attorney Roger Wiest II of Sunbury and King.
At that time, King acknowledged the commissioners had the right to appoint whoever they wanted to the IDA board, but said other people had been nominated for vacancies, but were never appointed. "We are all in favor of economic development, but this shows a lack of communication," King said.
Clausi responded, "There has been a lack of communication in your office for the past 15 to 20 years."